Let’s get the major misconception out of the way right now: despite the similar-sounding name, a Building Certificate is NOT a building permit!
Rather, it’s a council-issued document that states that they (the council, that is) won’t take certain actions regarding the property.
Of course, as with any of the documentation that’s required when buying or selling a property, there’s a lot more to Building Certificates than just that!
So…
- What is a Building Certificate?
- How is it different to a building permit?
- When should you apply for one?
- What does it include?
- How do you search for a Building Certificate?
...and most importantly, do you need one?
This week, PSI is providing answers to all of your questions.
This isn’t correct - what you’re thinking of is a Certificate of Occupancy, which is issued by a licensed building surveyor.
Nor is a Building Certificate a document stating that the Council has given approval for construction or renovation work to go ahead - that’s a Building Permit.
Rather, a Building Certificate’s actual job is to certify that the Council isn’t planning to take any action or intervene regarding the property that’s being bought or sold.
Allow us to explain.
As part of their responsibility to enforce building codes, the Council may issue Orders to property owners, compelling them to begin or cease certain actions if it violates Australian legislation or building codes.
For example, the Council may issue Orders to:
- Commence immediate repair work
- Cease work that violates certain laws or regulations
- Pause construction until an inspection can be performed
- Rectify issues and violations
- Demolish structures that are unsafe
- Stop work that encroaches on neighbouring properties
A Building Certificate tells both the buyer and the seller that the Council has no intention of taking action or filing an Order in the next seven years.
Essentially, it’s a seven-year assurance that you won’t have to pay for expensive demolition work or repairs immediately after moving in.
If you ask us, you’ll want to apply for a Building Certificate early on in the purchasing/selling process.
The last thing you want is an unwelcome last-minute surprise courtesy of your local Council!
A Building Certificate can be requested either for the entire property, or for part of it (in the case of subdivisions) by the:
- Current owner of the property
- The prospective purchaser
- A third party working on behalf of the owner or buyer like an agent or conveyancer
- Public authorities
Many buyers operate under the assumption that the seller has done their due diligence and has already guaranteed that the property isn’t the subject of an Order.
Just remember that there’s no law saying that sellers have to supply a Building Certificate.
And that’s why buyers should do their due diligence and apply for a Building Certificate just in case!
Many home improvements are DIY jobs undertaken without the appropriate approval. These can often become targets of Council Orders if the work is inappropriate, or simply not up to scratch.
If the property you’re looking to buy or sell has unauthorised work done on it, requesting a Building Certificate is a very good idea!
This report should be:
- The original OR a certified copy
- Current, and up-to-date
This is a document that outlines the boundaries of a property, including a detailed sketch of the land and where structures sit relative to those boundaries.
Don’t worry, each building will have a survey report attached to it buried somewhere in the records - after all, it’s mandatory when applying for a building permit.
Once you’ve gotten your hands on the survey report, you’ll want to take it to the Council and file your request.
Some councils allow online applications, while others require you to turn up in-person and fill out your request using pen and paper.
We suggest contacting your local council or shire, or visiting their website to figure out what steps you need to take when applying for a Building Certificate.
Add the council to the mix, and you can be left treading water for weeks as the wheels of government (slowly) turn.
Luckily, there’s a better way!
Our unique automated document search is lightyears faster than the traditional method.
We’re your one-stop-shop for all sorts of property documents, including:
Land Titles Energy Reports Soil Reports
Sewer layout plans Subdivision plans Bushfire reports
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Whether you’re buying your first home, upgrading, or are a professional property developer, we’ll take care of the hard work for you.
All you have to do is search your address and select what documents you want us to find!
Got questions? Contact our friendly team today! Give us a call on (03) 8527 6300 orclick here to get in touch online.
PSI provide property information searches for businesses and individuals that can be purchased instantly online or with a company account.